Press release - 14 July 2011 07:30

Norwegian second quarter - strong earnings improvement and over 4 million passengers

Norwegian carried more than 4 million passengers in the second quarter, 26 percent more than the same period last year. The turnover was just over 2.7 billion NOK, up 34 percent. The operating result for the second quarter was 137 million NOK, which is 185 million NOK better than last year, despite an extra fuel charge of 193 million NOK. The underlying operating result was 333 million NOK better than previous year.

"The results for second quarter, are as expected, strongly affected by the high fuel price, which is almost 50 percent higher than the same period last year. Second quarter, last year was also influenced by the authorities closure of the airspace caused by volcanic eruption in Iceland. That set aside, together with fuel and currency effects, the underlying operating result for the second quarter was 333 million better than the same period last year. This is due to lower costs thanks to a more modern fleet and more efficient operation, said Norwegians CEO Bjørn Kjos.

"I am very pleased with the strong passenger growth, not least as we keep a steady course toward lower costs and increased competitiveness. During the second quarter, we have secured financing for several new aircraft to be delivered between summer 2011 and end of 2012. New aircraft are essential for being a strong competitor in terms of passenger comfort, lower fuel consumption and environmental savings. During the quarter, we have managed to save more than 50 million as a result of more fuel-efficient aircraft in the fleet, said Kjos.

So far this year, the company has received 12 brand new Boeing 737-800. A further three will be delivered from Boeing later this year. At the same time older Boeing 737-300 are being phased out. As of July 2011, Norwegian has 35 new Boeing 737-800 in its fleet. Fleet replacements to new and larger aircraft with more seats are also an important contribution to increased production. Compared with second quarter last year, the production growth is up 24 percent. The load factor for the quarter is also better compared to same period last year, up 3 percentage points to 78 percent.

Strong growth in Sweden and Finland
Norwegian flew more than 840 000 passengers in the second quarter compared with same period last year. The majority of the strong growth comes from Finland, which is a new market for the company, and from Sweden, where Norwegian has opened several new routes. In Norway and Denmark, the route network and number of passengers are more stable. For Norway, much of the growth stems from charter, which is a priority area for Norwegian.

Key figures second quarter 2011 (2010)

Passengers:    4.0mn NOK     (3.2mn)
Revenue:         2.727mn NOK (2.032mn)
Load factor:    78 per cent     (75 per cent)
EBITDAR:         347mn NOK     (144mn NOK)
EBITDA:           137mn NOK     (-49mn NOK)
EBIT:                73mn NOK       (-93mn NOK)
EBT:                 75mn NOK       (-188mn NOK)
Net result:      54mn NOK       (-134 mill NOK)

For further details, see attached pdf.

Contacts:
CFO Frode Foss; phone: + 47 91 63 16 45
SVP Corporate Communications Anne-Sissel Skånvik; phone: +47 97 55 43 44

Topics

Norwegian Air Shuttle ASA, commercially branded “Norwegian,” is a public low-cost airline noted on the Oslo Stock Exchange. The company is the second largest airline in Scandinavia, and has a route portfolio that stretches across Europe into North Africa and the Middle East. With competitive prices and customer friendly solutions and service, the company has experienced significant growth over the previous years. With more than 13 million passengers in 2010, Norwegian is the 3rd largest low-cost airline in Europe. Norwegian currently operates 58 aircraft on 244 routes to about 100 destinations and employs approximately 2 500 people.

Contacts

For journalists only

Press contact Norwegian Press Office press@norwegian.com +47 815 11 816

Marketing/sponsorhip requests: marketing@norwegian.com

Press contact Marketing/sponsorship requests: marketing@norwegian.com

Norwegian Second Quarter Results 2011

First half revenue up by 27.5 % to MNOK 4,620 (3,624), quarterly revenue up by 34.1 % to MNOK 2,725 (2,032). Earnings before depreciation and leasing (EBITDAR) in first half were MNOK 117.2 (121.4) and in the second quarter were MNOK 346.9 (144.2). Earnings before depreciation (EBITDA) in first half were MNOK -293.0 (-241.0) and in the second quarter were MNOK 136.6 (-48.7). Net r

Norwegian.com

The Norwegian group is a leading Nordic aviation company, headquartered at Fornebu outside Oslo, Norway. The company has over 8,200 employees and owns two of the prominent airlines in the Nordics: Norwegian Air Shuttle and Widerøe’s Flyveselskap. Widerøe was acquired by Norwegian in 2024, aiming to facilitate seamless air travel across the two airline’s networks.

Norwegian Air Shuttle, the largest Norwegian airline with around 4,700 employees, operates an extensive route network connecting Nordic countries to key European destinations. In 2023, Norwegian carried over 20 million passengers and maintained a fleet of 87 Boeing 737-800 and 737 MAX 8 aircraft.

Widerøe’s Flyveselskap, Norway’s oldest airline, is Scandinavia’s largest regional carrier. The airline has more than 3,500 employees. Mainly operating the short-runway airports in rural Norway, Widerøe operates several state contract routes (PSO routes) in addition to its own commercial network. In 2023, the airline had 3.3 million passengers and a fleet of 48 aircraft, including 45 Bombardier Dash 8’s and three Embraer E190-E2's. Widerøe Ground Handling provides ground handling services at 41 Norwegian airports.

The Norwegian group has sustainability as a key priority and has committed to significantly reducing carbon emissions from its operations. Among numerous initiatives, the most noteworthy is the investment in production and use of fossil-free aviation fuel (SAF). Norwegian strives to become the sustainable choice for its passengers, actively contributing to the transformation of the aviation industry.